Are Student Credit Cards Only for Students?

Unlike most regular credit cards, student credit cards are available for college students. They typically have less stringent eligibility requirements so you can qualify even if you don’t have an established credit history.

If you’re not a student but have limited credit history and have struggled to get a credit card, you may be wondering if you can get a student credit card. The answer is yes, in some cases. While there is no maximum age for student ID, there are minimum ages and other restrictions that can limit your ability to qualify for a student credit card. Here’s what you need to know.

The central theses

• Student credit cards give you access to credit during your studies.
• With a student ID, you can build your creditworthiness for the future.
• Most companies require that you are currently enrolled in a college in order to qualify for a student credit card.
• Part-time students are usually entitled to a student ID.
• There is no upper age limit for student credit cards, but there is a minimum age.

How do student credit cards work?

Credit card companies have designed student cards specifically for college students, young adults in school who are less likely to have a credit history. In addition to being convenient, student credit cards can help you build good credit for the future.

They’re also an attractive option because, unlike secured credit cards, you don’t have to leave a deposit.

Student cards work like traditional cards. The card issuer gives you a credit limit, and you can top up to this limit to buy items or pay for services. At the end of your billing cycle, you must make at least the minimum payment due. If you only pay the minimum and don’t pay the entire bank statement in full each month, you will have to pay interest on your outstanding balance. Student IDs can have relatively high interest rates, often over 20%.

Many credit card companies, including Bank of America and Discover, offer rewards for using their student credit cards. You can earn cashback, points, or airline miles when you use your card to buy textbooks, a new computer, gasoline for your car, or anything else.

Who is Eligible for Student Credit Cards?

Most student credit cards currently require you to be enrolled in a two- or four-year college or university. Freshmen, sophomores, juniors, seniors, and graduate students are eligible for student credit cards as long as they meet the card issuer’s other requirements.

While card issuer rules vary, applicants generally need to meet certain criteria related to age, citizenship, and enrollment. For example, Discover uses the following criteria:

• You must be at least 18 years of age or the legal age in your state
• Must have a permanent US address
• You must have a social security number
• You must provide proof of enrollment, e.g. B. the name of your school, the expected graduation date or the letter of admission from the university

Exceptions to the enrollment of student credit cards

While most student credit card companies require applicants to be current college students, there are a few exceptions.

For example, Capital One’s Journey Student Credit Card is marketed to college students, but you do not need to be enrolled in a school or provide any information about your college. As long as you meet the card’s age and income requirements, you can qualify.

Do I have to be a full-time college student to qualify for a student ID?

While most student credit card issuers require you to be currently enrolled in college, most don’t require you to be enrolled full-time. If you are a part-time student, you can still qualify for a card as long as you provide an estimated graduation date or other proof of enrollment.

Alternatives to the student credit card

If you are not eligible for a student credit card because you are no longer in college or for other reasons, there are alternative ways to build up your credit.

• Secured credit cards. With a secured credit card, you must leave a deposit that serves as a credit limit. The card issuer reports your account activity to the major credit bureaus. So, as long as you make your payments on time and use your card responsibly, you are building a good credit history. After a while, you should be entitled to a normal, unsecured card.
• Bad credit cards. Some credit cards are designed for people with little or no creditworthiness. Although you can be approved with poor credit, be aware that these cards often charge sky-high interest and fees.
• Retail cards. Retail credit cards or loyalty cards, which can only be used with a specific retailer, are generally easier to obtain than typical credit cards. While they can have high interest rates, you can use them to make necessary purchases and pay off the balance in full each month to avoid interest. Over time, using a retail card can help improve your credit score so that you qualify for other card types.

source https://collegeeducationnewsllc.com/are-student-credit-cards-only-for-students/